Opportunity in the rental market is truly warming up. Rates are rising, vacancies are dropping, and backers are looking to purchase properties for long-term rental revenue.
Landlords have enjoyed the edge since the house crisis as increased interest from renters coincided with very little new supply of rental units. Rising mortgage rates, tighter borrowing wants and higher home prices have taken many people out of the house buying market. And, many remain burned by the housing crash and don?t need to have a house.
The latest Rental Screening Solutions industry report published by TransUnion discovered that average rental prices have increased nearly 4% countrywide last year while the credit risk of applicants for those properties as measured by TransUnion's Resident Scoring Model has gradually improved, with an average improvement of 1% in the year.
Even though purchasing a home is 35 % less expensive than hiring over the long run, a rising share of US citizens choose to sign a lease instead of a deed. Pros predict home possession will fall even further in the following couple of years.
Purchasing isn't the "American Dream" any longer. The North American Dream used to be equivalent in the North American psyche with home ownership. Not so any more. Today, the hottest definition of the North American Dream is retiring with economic security, followed by being debt-free, according released in September by Credit.com. Just 18 p.c claimed that buying a home was the American dream.
According to Zillow data, home-ownership rates are predicted to fall below 65% in 2014, the lowest level since the mid-1990s and an advantage to real estate investors who will see increased requirement for their rental properties and continued increase in average leases and home prices.
These rising home costs will inspire Americans to move, but to more cost effective areas where housing is more reasonable. Metropolitan areas like Atlanta, Dallas, Houston, Indianpolis and Kansas City may continue to see a growth in residents and make great investment markets to build up your tunkey real estate portfolio.
Click the link below to see the inforgraphic: http://www.noradarealestate.com/blog/welcome-to-the-rental-boom/.
Landlords have enjoyed the edge since the house crisis as increased interest from renters coincided with very little new supply of rental units. Rising mortgage rates, tighter borrowing wants and higher home prices have taken many people out of the house buying market. And, many remain burned by the housing crash and don?t need to have a house.
The latest Rental Screening Solutions industry report published by TransUnion discovered that average rental prices have increased nearly 4% countrywide last year while the credit risk of applicants for those properties as measured by TransUnion's Resident Scoring Model has gradually improved, with an average improvement of 1% in the year.
Even though purchasing a home is 35 % less expensive than hiring over the long run, a rising share of US citizens choose to sign a lease instead of a deed. Pros predict home possession will fall even further in the following couple of years.
Purchasing isn't the "American Dream" any longer. The North American Dream used to be equivalent in the North American psyche with home ownership. Not so any more. Today, the hottest definition of the North American Dream is retiring with economic security, followed by being debt-free, according released in September by Credit.com. Just 18 p.c claimed that buying a home was the American dream.
According to Zillow data, home-ownership rates are predicted to fall below 65% in 2014, the lowest level since the mid-1990s and an advantage to real estate investors who will see increased requirement for their rental properties and continued increase in average leases and home prices.
These rising home costs will inspire Americans to move, but to more cost effective areas where housing is more reasonable. Metropolitan areas like Atlanta, Dallas, Houston, Indianpolis and Kansas City may continue to see a growth in residents and make great investment markets to build up your tunkey real estate portfolio.
Click the link below to see the inforgraphic: http://www.noradarealestate.com/blog/welcome-to-the-rental-boom/.
About the Author:
Marco Santarelli is an investor, author and founding figure behind Norada Property Investments รข€" a nationwide real estate investment firm providing turnkey investment property in expansion markets around the U.S.. For more articles like Welcome to the Rental Boom!, please be happy to visit our Property Investing Blog where it was initially printed.
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